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Stocks cratered Thursday after President Donald Trump unveiled sweeping tariffs of at least 10% and even higher for some countries, raising the risks of a global trade war that hits the already sputtering U.S. economy.
The Dow Jones Industrials stumbled 1,336.61 points, or 3.2%, to begin Thursday at 40,888.71
The S&P 500 index discarded 21.28 points, or 3.4%, to 5,472.38, putting it on track for its worst day since September 2022
The NASDAQ hurtled lower 811.88 points, or 4.6%, to 17,789.16.
Shares of multinational companies tumbled. Nike dumped 11% and Apple dropped 9%. Big sellers of imported goods were among the hardest hit. Five Below lost 8%, Dollar Tree tumbled 23%, and Gap plunged 15%. Tech shares dropped in an overall risk-off mood, with Nvidia off 5% and Tesla also down 3.5%.
The White House unveiled a baseline tariff rate of 10% on all countries that goes into effect on Saturday. Even bigger duties against countries that levy higher rates on the U.S. will be charged in coming days, according to the administration.
Prices for the 10-year Treasury popped, sharply lowering yields to 4.01% from Wednesday’s 4.18%. Treasury prices and yields move in opposite directions.
Oil prices lost $4.96 to $66.75 U.S. a barrel.
Prices for gold swooned $53.50 to $3,112.70 U.S.